‘Systems leader’, ‘systemsprenuer’, or ‘systems entrepreneur’. Pick your favorite. Regardless of which one you go for, the concept is emerging with SSIR, HBR and MIT all using it, along with a cluster of philanthropic foundations and consultancies.

But what defines a systems entrepreneur?

Their intention is systemic change
Systems theory tells us that we don’t actually ‘change systems’, instead we cultivate the conditions that encourage a system to change itself. Nevertheless, the defining characteristic of a systems entrepreneur is their understanding that things don’t change if we work only on the symptoms of major problems. We have to understand the underlying forces that keep things as they are.

Their key skill is facilitation
Systems entrepreneurs are often natural ecosystem builders. It’s almost a personality type. They connect unlikely allies, build networks, they help people find others who want to change the same thing. Kevin Jones called these people “Community Quarterbacks”, Geneva Global describes them as “a person or organization that facilitates a change to an entire ecosystem, by addressing and incorporating all the components and actors required to move the needle on a particular social issue.”

They get off their bum and make stuff happen
They initiate. They create projects and programs and coalitions and incubators that didn’t exist before. They are entrepreneurial in nature, even if money isn’t the value they create.

They also take personal risk, sometimes financial risk too. As disruptors of the status quo, their role is often questioned (‘who are you to convene?’). They have to lead strategy that goes against the wishes of powerful actors, without complete knowledge of where they will end up.

Giving Compass' Take:
• Liz Farmer, writing for Governing, explores a new initiative that helps veterans get jobs. It's the first pay-for-success program tied to veteran programs.
• Some say pay-for-success projects have hidden costs, but are the advantages -- the potential for a large investor payoff -- worth it?
• Stanford Social Innovation Review explores when pay-for-success models make sense.
Veterans often struggle to find and keep jobs. If they have mental health issues, that only exacerbates the struggle. That's where a joint state and local pilot project -- the first of its kind -- hopes to help.
“We’re not just talking about employment but better health outcomes for PTSD sufferers. The hope is to change the trajectory of that veteran’s life,” Melissa Glynn, an assistant secretary for the U.S. Department of Veterans Affairs (VA), said in a conference call with reporters. “We are looking at this as a way to combat suicide.”
The VA is working with the state of Massachusetts and the cities of Boston and New York to connect 480 veterans to civilian jobs that stick. What's novel about the joint effort is how its being funded: by so-called pay for success or social impact bonds.
Pay for success projects are financed by private investors that only get paid back and then some if certain benchmarks are met within a specified timeframe. The projects are run by public institutions and have certain measurable outcomes and goals that aim to benefit society -- in this case, employing veterans. If those goals are not met, the investors don't receive their money back. This funding structure minimizes the financial risks for governments.
Read the full article about pay-for-success by Liz Farmer at Governing magazine

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